Now that I have had a day to recharge after the April 15 deadline, it's always fun to look back at the last few months and analyze what went well and what didn't. Although a lot of this will be more relatable for other tax practitioners, it does give an insight into the variety of issues CPAs deal with during the course of tax season.
Health insurance
"I know I've never asked you this before, but you do have health insurance, right?" I got so tired of that question. But, it had to be asked to be in compliance with the new Affordable Care Act minimum required coverage rules. This was a challenge because you not only had to make sure the coverage met minimum requirements, but if they received a 1095 then there were additional forms to complete. Then, you had to hope the 1095 they received wasn't incorrect the first time.
Late 1099's
I gained some respect for the big brokerage houses this year because they started printing "THIS IS NOT A FINAL 1099" on the 1099 they sent out at the end of February. They also tried to identify the transactions that were not final, making it easier to get the return completed when the final 1099 was received. Now, I'm not saying that made it less stressful to get an amended 1099 on April 14, but at least you could anticipate a change.
The IRS
I'm not going to be too critical of the IRS because it is a busy time of year for them and they are, reportedly, heavily understaffed and underfunded. But, it is very difficult to discuss anything with the IRS on the telephone. Wait times are long and agents spend a lot of time encouraging the taxpayer to go to IRS.gov. And, I think the IRS has a real problem on their hand with the identity theft issue. The increase in electronic filing has created an opportunity for computer savvy criminals to get a hold of taxpayer money. I hope the 6 digit pin numbers become mandatory in the near future.
Financial aid
Thank you, financial aid forms, for asking of an estimate of the applicant's taxable income due by January 31. This is a double-edged sword because it is difficult to meet those early deadlines, however the financial aid forms encourage clients to get their organized tax information in quickly, expediting the completion of the return.